India eyes bigger slice of aerospace outsourcing

Indian software firms say they are well placed to grab a bigger share of the aerospace market as airplane makers and defence companies look to control costs by outsourcing design and management systems.

Asia’s fourth-largest economy is already a hub for global corporations to outsource software services from application development and system integration to supply chain management.

Global spending on engineering services was $750 billion in 2004, with aerospace accounting for 8 percent, and could rise to $1.1 trillion by 2020, according to the National Association of Software and Service Companies, India’s IT industry lobby group.